Additionally since insurance costs are born by all policy holders is it fare to allow any person to qualify for insurance when the likely hood is that their home will be repeatedly damaged or destroyed in the future.

It is merely an opinion.  

Financing is not the issue, but mere supply.

So it would basically take something that might take hours or days for a newbie and condense it into mere minutes.Hope that helps!

I understand the principle but in almost every case, the property was bought for $X, was immidiately worth $X + 15%, then a mere 6 months later there majically appeared an incremental 20% property value increase.

Yes, you can merely disqualify him for failing to apply to utilities and get them in his name on time.

As far as my asking price, it is merely the asking price, it can be negotiated.

Is it merely for financing reasons later, or something else?

This provides a second method other than tenant deposits, it is e-bank compatible,  and scalable on autopilot as it takes merely a minute to do. 

This sounds way too detailed to be merely hypothetical.But anyhows, to answer the question, I'd have to say BOTH.